LENIN COLLECTION XVIII

THE LENIN COLLECTION

Requested by the Institute, one of the cooperators present with Lenin, V. A. Lavrukhin, provided the following account:

"The day before, the Administration of Affairs of the Council of People's Commissars communicated by telephone to the Central Union of Consumers' Cooperatives that V. I. Lenin wished to hear an informational report on the organizational state of consumers' cooperation, on its trade-supply activities, and to discuss the question of maximizing the involvement of cooperation in grain procurements.

The Board of the Central Union sent the chairman of the board D. S. Korobov and myself, who headed the trade-supply work within the board composition.

We were received by Vl. Il. in the Kremlin, in his office. The conversation lasted approximately one hour.

D. S. Korobov, in a brief report, communicated that on the territory of Soviet Russia there now exist 25—27 thousand consumers' cooperatives. In a number of places they have completely displaced private traders. Cooperation serves 70—75% of the population. Best served are 15 gubernias of the central district—at 80% of the population, then 14 gubernias of the Northern district—75% of the population. Weaker is cooperative development in 2 western gubernias—less than 70% of the population, and even weaker in 6 gubernias of the supply eastern district, where approximately 50% of the population is served.

All consumers' cooperation of Soviet Russia is unified in unions, numbering more than two hundred.

D. S. Korobov drew Vl. Il.'s attention to the fact that in a number of districts the attitude of local Soviets toward cooperation does not correspond to directives from the center. Despite a telegram sent in April to all Soviets by the presidium of the Supreme Council of the National Economy concerning an agreement reached with the cooperation centers on joint work and with a prescription in the name of the Council of People's Commissars to cease persecution of cooperatives—in a number of districts these persecutions continue. Certain assistance, but insufficient, is rendered by special cooperative departments established for the resolution of conflicts at the Supreme Council of the National Economy and the Council.

The Central Union as of July 1 of this year had in its membership approximately 3,000 organizations—all unions and part of the largest societies.

Among the circumstances that significantly hindered the development of cooperation, there was noted in the conversation the height of tax burden, reaching 90% of all trade accumulation, which does not allow cooperation to accumulate indivisible capital formed from profits. In particular, by special 5% taxation of turnover, cooperation pays in full, while private trade, lacking accountability and owing to the weakness of the tax apparatus, as a rule, is under-taxed.

Vl. Il. proposed providing more detailed information on the supply work of the Central Union.

Having reported on the measures undertaken in the field of procurements, we proceeded to the question of prospects for commodity exchange with Ukraine.

Vl. Il. remarked that regarding commodity exchange with Ukraine he possessed sufficiently detailed information. Vl. Il. proposed drawing attention to the procurement of sugar and other products penetrating in small lots, but in large quantities onto Soviet territory, where they are purchased by bagmen and transported to centers."